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US issues draft rules on private assets inclusion in 401k retirement plans

The U.S. Department of Labor's proposed rule creates safe harbors for fiduciaries to include alternative assets in 401(k)s, potentially unlocking trillions in retirement savings.

  • On Monday, the U.S. Department of Labor issued a proposed rule to help 401 plans incorporate alternative assets like private equity and cryptocurrencies, fulfilling President Donald Trump's August executive order.
  • The DOL's proposal creates 'process-based safe harbors' protecting fiduciaries from lawsuits if they objectively evaluate fees, liquidity, and complexity, targeting the roughly $12 trillion in defined-contribution retirement cash.
  • Senator Elizabeth Warren and the Private Equity Stakeholder Project oppose the rule, with executive director Jim Baker calling it a 'bailout' for a struggling industry using retirement savings.
  • Private credit firms face record investor withdrawals in the roughly $2 trillion industry; SEC Commissioner Mark Uyeda defended the rule as promoting free markets despite liquidity concerns.
  • The proposed rule enters a 30- or 60-day public comment period before final Office of Information and Regulatory Affairs review; analyst Jaret Seiberg remains skeptical courts will protect fiduciaries from litigation.
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WKZO broke the news in on Monday, March 30, 2026.
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